HUD Home fixer uper or pass?? (flooring, roof, washer, furnace)

[SparkyR59]

Im kind of on the fence with this one... Im looking into a HUD home that is a 1406 sq ft Colonial built in 1996 listed at 128,800 that has gas heat, city water/sewer, 2 car garage, 3 beds, 1-1/2 baths, central air. its in a great quit neighborhood at in end of a cul-de-sac. I did look inside already with my realtor and my father in-law witch is a lic general contractor and me being a un-lic electrician. it does how ever need a lot of work and from what we saw just visually. just off the top of my head is a list of things wrong.

Outside
- just under the outside garage the metal trim is sagging -- easy fix
- side of garage siding is cracked in 3 locations
- back of garage siding is melted in a small location do to a grill
- back garage door - top of door frame carpenter bees got to it and is rotted in some areas
- back garage door - some water pooling there about 2-3 in from heavy rain/snow that day
- * needs new roof - roof is in bad shape there is no leaks however maybe 1-3 years left

Inside basement
- there was a burst pip at one time flooded the basement - (it was a finished basement)
- plumber did a quick hack fix to stop it, looked like a heating line - needs to get repaired / fixed
- half of Sheetrock is missing do to flood
- * only a 100a panel that is maxed out why not a 200a beats me? - maybe get away to upgrading to 200a without changing the meter because its a 96 home? - easy for me
- 3 zone gas furnace looks like water hit it..flooded?? looks roughed up.. we didn't try it.. no gas or electric is on.. sitting on a paver lol.. electric water heater..ok?
- if basement is redone it can add up to 200Sq ft

Inside First Floor
- only one cracked window
- linoleum wood flooring is beat up in the kitchen and in dining area.. ok-ish in living room
- baseboard trim is beat up pretty good through out living area
- 2 kitchen cabinets are missing / broken top drawer
- missing stove,fridge but has dishwasher, microwave??
- staircase is carpeted but is in really bad shape and is pulled up in some areas
- staircase is missing skirt board trim all the way up.. why was this removed???
- half bath missing ceiling 1x1 ft Sheetrock.. looks like drain pipe from shower from above.. fixed leak??
- (this one worry's me) back slider - some of the floor is rotten by the door opening and is soft with a 3in hole to basement.. is also in the area where burst pipe is/was
- kitchen cabinets are dirty maybe repaint them?

Inside Second floor
- all carpet is shot - heavy stained in areas
- Central air unit in attic but did not go up do to not having a ladder for the access.. does it work?
- missing all smoke/carbon detectors - easy fix

General
- will most likely repaint all areas - given
- will most likely replace all SW/outlets to decora - my preference

all in all the bones of the house is solid and my father in law said if we can get it for 80-95K it can be worth it. he also was in love with this house but my realtor not so much. also we don't know what else is there once the water and gas turns on.

the neighboring house is also for sale for 159,900 but it is a smaller house with one car garage.

Im not sure on this. the repair work is overwhelming in the short run but can be just about a new house when done. does anyone have experience with HUD homes? is it worth it to fix it up of should i pass and keep looking?

[K'ledgeBldr]

Buy HUD houses for pennies on the dollar; or pass.

Past history on these homes is usually not good!

[TrapperL]

With all due respects to FIL, he can't be serious. The entire house will have to be redone. I wouldn't touch the house for more than 30 grand. This is a money pit waiting to happen. You can't just stick any cabinets in the kitchen, you're talking FULL kitchen remodel- new cabinets, tops,appliances, flooring. You have no clue what the damage is from the burst pipe or what damage you'll find from the bees. All new flooring is in order, a bunch of drywall work, retrim the moulding, upgrade to the electrical, new roof, obvious plumbing repairs, repaint inside and out- you can spend a good 100 grand on it and quick. The reason you flip a house is to make money. There's nothing left to make any money on at the buy price FIL has in mind. I wouldn't pay that much for it if I was moving family into it after it was fixed up.

When considering the "bones" of a house, that includes the roof, HVAC, foundation, structure, plumbing and electrical. The roof is bad, plumbing is suspect, electrical needs upgrade, HVAC is suspect. So 4 out of 6 are bad or suspect and you want to say it has good bones. Not even close. There's a lot of major wrong with this house and I'd strongly suggest finding another house. Just consider this one a good lesson that didn't cost you to unload it on somebody.

[ChessieMom]

Originally Posted by SparkyR59

is it worth it to fix it up of should i pass and keep looking?

Run like hell.